Profit-taking could be gripping Wall Street today
Stock futures are taking a breather from yesterday's wild rally that saw the major benchmarks notch their best days in months. Futures on the Dow Jones Industrial Average (DJI) are down roughly 41 points this morning, while futures on the S&P 500 Index (SPX) and Nasdaq-100 Index (NDX) are also logging modest dips in a bout of profit taking. Meanwhile, investors are unpacking corporate reports from the likes of Target (TGT) and Zoom Communications (ZM), as well as upcoming comments from several Federal Reserve speakers to give economic clues later today.
Continue reading for more on today's market, including:
- Schaeffer's Senior V.P. of Research Todd Salamone puts the VIX pop into context.
- The beer stock cracking higher after a bull note.
- Plus, more on Zoom's big day; Kohl's scores topline beat; and BYND upgraded.
5 Things You Need to Know Today
- The Cboe Options Exchange (CBOE) saw more than 1.7 million call contracts traded on Monday, and 647,614 put contracts. The single-session equity put/call ratio dropped to 0.38 and the 21-day moving average dropped to 0.42.
-
Zoom Video Communications Inc (NASDAQ:ZM) is up 6.3% in premarket trading after the digital conferencing staple reported a fourth-quarter earnings and revenue beat. The company also posted an optimistic current-quarter forecast, which topped analysts' expectations. As a result, ZM is pacing for its third-straight win and is up over 22% year-to-date.
- Kohl's Corporation (NYSE:KSS) stock is 0.9% higher ahead of the open, after the retail giant posted an earnings and revenue beat for its fourth quarter. The company said it was bringing back its dividend and share buyback program, and provided a sunny current-year sales forecast. KSS has tacked on over 40% this year already.
- An upgrade from Citi is giving Beyond Meat Inc (NASDAQ:BYND) a boost this morning. The stock is up 2% in electronic trading after the analyst lifted its rating to "buy" from "neutral," calling the firm's recent cost issues temporary. While Beyond Meat stock has taken a breather since its annual peak of $221, support from the 200-day moving average has kept losses in check.
- Today's economic calendar will be fairly slow, with motor vehicle sales slated for release.
European Markets Get a Boost as U.S. Bond Yields Ease
Asian markets were mostly lower on Tuesday, unable to get a halo lift from the outsized gains on Wall Street. South Korea’s Kospi finished the day 1% higher. Elsewhere, Japan’s Nikkei fell 0.9% as the yen pulled back against the dollar, while Hong Kong’s Hang Seng and China’s Shanghai Composite each shed 1.2%.
European stocks, meanwhile, are capitalizing on yesterday’s rally, rising as U.S. bond yields continue to retreat from last week’s highs. Data also show that euro zone inflation was consistent last month, rising 0.2% month-on-month, around what analysts expected. At last check, the London FTSE 100 is up 0.8%, France’s CAC 40 is 0.7% higher, and the German DAX has added 0.5%.